GST Rate Cut 2025, 375 Items to Become Cheaper from 22 September - Food, Electronics, Cars & Daily Essentials

From 22 September, many goods and services will become cheaper. The government has decided to reduce GST (Goods and Services Tax) on around 375 items. This will help common people save money when they buy daily-use items like soap, shampoo, food, and even costly products like AC, fridge, and cars.

What is GST?

GST is a type of tax that we pay when we buy goods and services. Earlier, there were many different taxes, but now GST has replaced them. Goods are divided into slabs like 5%, 12%, 18%, and 28%. The government has now decided to reduce the rates. From tomorrow, there will be only two main slabs: 5% and 18%.

Food and Kitchen Items

Everyday food products will become cheaper. Items like ghee, butter, paneer, snacks, ketchup, jam, coffee, dry fruits, and ice-cream will cost less. This is good news for families because they use these items daily. Spending on groceries will reduce, and families can save more money.

Home Electronics and Appliances

Not only food, but electronic items will also become cheaper. Goods like TV, AC, fridge, and washing machines will now cost less. Earlier these items were taxed at higher rates, but now the tax is reduced. People who were planning to buy a new AC, fridge, or TV will benefit.

Medicines and Health Products

The cost of medicines will also go down. The GST on many medicines, medical kits, and machines has been cut to 5%. This means people will pay less when they buy tablets, syrups, and testing kits like glucose meters. Poor and middle-class families will benefit because medical expenses are always high. The government has even told medicine shops to change the MRP or sell at lower prices, so people get the full benefit.

Vehicles and Cars

People who want to buy cars will be very happy. The GST on small and big cars has been reduced. Many car companies have already announced lower prices. This will make cars more affordable for middle-class families.

House Construction and Cement

Cement is one of the costliest building materials. Earlier, cement had 28% tax. Now it has only 18%. This will make house construction cheaper. People who are planning to build new houses will save a lot.

Daily-Use Items

Items that people use every single day will also become cheaper. Products like soap, shampoo, toothpaste, toothbrush, hair oil, talcum powder, shaving cream, aftershave lotion will all cost less. Earlier, these items had tax between 12% to 18%. Now, the GST is reduced to just 5%.

This will help every household because these items are necessary for daily life.

Services like Gym, Salon, Yoga

Not only goods, but even services will become cheaper. Services like gym, yoga, fitness centres, salons, beauty parlours, and health clubs will have lower tax. Earlier, these services had 18% GST. Now, they will have only 5%. People who go to gyms or salons will pay less money from tomorrow.

Big Change in GST System

The biggest change is that now we will have only two main GST slabs. Earlier, there were four: 5%, 12%, 18%, and 28%. From tomorrow:

Most goods will have 5% or 18% GST.

Luxury items will have 40% GST.

Tobacco and harmful products will stay at 28% + extra cess.

This change will make the tax system simple and easy for everyone to understand.

Benefit to Economy

Finance Minister Nirmala Sitharaman has said that this decision will bring ₹2 lakh crore into the economy. At the same time, it will help people save money. Almost 99% of the items that were in the 12% slab will now be under 5%. Also, 90% of items that were in the 28% slab will now be under 18%.

This means cheaper goods for customers and more money saved by families.

Why This Matters for People

This GST cut will give relief to every family. From the kitchen to the living room, from medicines to cars, from soap to cement, the prices will go down. People will spend less and save more.

It will also help businesses. When items are cheaper, more people will buy them. Companies will sell more products. This will improve the economy.

Final Words

From 22 September, India will see a big change in GST. Around 375 items, including food, medicines, electronics, cars, cement, and daily-use goods, will become cheaper. Services like gyms, salons, and yoga centres will also cost less.

This is a big festival gift for common people. Families will save more money. Builders will save on construction. Car buyers will get discounts. Patients will spend less on medicines.